Index

Note: Italic page numbers refer to illustrations.

3M 112–13, 152, 154, 192, 216–17, 297 failure at 486 chip design 83 4Ps model 16–20, 31 latecomer fi rms’ technology strategies innovations mapped onto 32–3 71–2 see also China; India absorptive capacity 90, 112, 224, 300, 458 assembly customization 178 academic entrepreneurs 366–8, 369 assisted living 50–1 accidental inventions 192–3 associations and creativity 124–5, 142–3 active users 211, 219 assumptions Acton, Brian 368–9 about the poor, challenging 92 Adidas, co-creation 307 and scenarios 243–4 adoption of innovation 204–5 attacker’s advantage 428 factors infl uencing 346–9 audit frameworks 507 failure, reasons for 350 authoritative decisions 342 ADS (autodisable syringes) 358–9 Autonomy 360–1 Advanced Institute of Management Research (AIM) 311 B&Q, disability awareness 51 advertising 209, 278, 476 background of entrepreneur 265 advocacy, venture management 398 bandwagons 345–6 age of entrepreneurs/founders of new ventures banking 32, 33, 45–6, 93, 201, 202, 467 360, 415–16 Bass model of diffusion 344–5 Akash Computer, India 174–5 Bayesian analysis 249 Allen, Tom 151, 216 Bell, Alexander Graham 14 AlterGeo, 82 benchmarking 74, 187–8 Alternative Investment MarketCOPYRIGHTED (AIM) Berkhout, MATERIAL Frans 102 381–2 Besser, Mitch 50 Altshuller, Genrich S. 138 bisociations 142 analogies 140–1 BlackJack smartphone 326 Anglo-Saxon governance model 78–9 Blu-ray 448–9 Apple 190–1, 326–7, 407, 418, 453, 457 BMW research centre, Germany 150–1 Aravind Eye Clinics 47 Boeing 29, 222, 299, 394–5 architecture supporting creativity 150–2 Bookham Technology 422–3 ARM Holdings 457 bootlegging 217 Arthur D. Little 6 Boston, Massachusetts, Route 128 high-tech Arup 445 start-ups 361–2 514 Index

bottom of the pyramid (BoP) markets 91–4, intellectual 448 173–6 social 85 boundary object/practice 186, 447–8 see also venture capital brain and creativity 124–6, 129, 131, 132, 139, carrageenan 142 140 CEMEX 94 brainstorming 143, 147–8, 242 challenge and involvement 280 Brazil 87–9, 176 Chesbrough, Henry 218 BRIC (Brazil, Russia, India and China) countries China 89–91 70, 85–91 low-cost provision 173 bridging 221–2 patents 458 Broens Industries 10 supply chain learning 299 brokering 221–2 Tata joint venture with 339 BT (British Telecomm) 50–1, 212 venture capital funding 380, 381 business angels 382 Christensen, Clayton 171–2, 254 business case 465 Churchill Potteries 166–7 see also business planning Citicorp 93, 305 business model innovation 468–71, 474 citizen sourcing 183 examples of 18–19 Clean Air Act 189 as a route to 470 Clifford, Robert 9–10 in the music industry 473 climate business models 463–4 creative 147–8, 153–4 4Ps model 468 organizational 278–82 building 474–8 clusters examples of 467 spatial 294, 362, 370 framework 466 strategic 335, 337 generic and specifi c 472–4 technology 299 purpose of 464–5 co-creation/co-development 222, 304 sustainability 478 conjoint innovation 276 and value creation 466 customization 18, 179 business planning user involvement 181–4, 306–7 developing a plan 233–9, 373–4 co-evolution search strategy 213, 214 forecasting innovation 239–46 codifi ed (explicit) knowlege 450–8 resource anticipation 251–5 cognition 85 risk and uncertainty 246–51 cognitive bias 250 business plans, developing 233–9, 373–4 cognitive processes, risk perception business process outsourcing 49 250 business structure 374–5 collaboration business units 403–4 breakthrough technology 299 Business Ventures Programme (BVP), Nortel teams 271–2, 275 Networks 392 universities 370, 425 collective decisions 341 capability collective effi ciency 297–8 building 25–7, 84–5, 485–7 collective user innovation 183–4 dynamic 36, 112, 224 Coloplast 181–2 see also competencies commercial value creation 12 capital commercialization of product 328 fi nancial, access to at start-up 416 commitment human 85, 379, 416, 423 entrepreneurial 371 Index 515

management 234, 374, 394, 399 individual differences in 132–3 of team members 274–5 integrated approach 156 communities 309 personal skills 144–5 communities of practice 294, 296–7, 447–8 in practice 128 compatibility 347 thinking skills 135–44 competencies 34–5 credibility of new venture 371, 415 developing new 395–6 crisis-driven innovation 176–7 team performance 277 cross-boundary team activity 273 see also capability crowdfunding 295, 383 competitions 308–9 crowdsourcing 183, 185, 222, 307, 492 competitive rivalry 77–8 CSR (corporate social responsibility) 50–2, 55–6, complementary assets 428, 458 57, 101–2 complementary capabilities 418–19 culture 279 complexity 28, 213, 224, 291, 348 customer contact and services 332 compliance 101–2, 103, 104 customization 177–80 component innovations 20 cystic fi brosis, user-led innovation 54–5 computer-aided techniques 309, 337, 494 concept generation 334–6 data, defi ned 443 confl ict DAWN programme 57–8 creative 148–9 de Bono, Edward 145 and debate 280–2 debate and confl ict 280–2 conjoint innovation 276 ‘deep diving’ 211 ‘Connect And Develop’, P&G 216, 221, 296–7, Delphi method 243 470 design for manufacture (DFM) 337 convergent thinking 125, 130, 133, 140, 145 design customization 179 copyright 455 design-driven innovation 190–2 corporate entrepreneurship 211 design rights 455 political barriers 399 development of venture 60, 493–6 corporate governance 78–91 development funnel 325, 327 corporate social responsibility (CSR) 50–2, 55–6, development innovation, BoP 91–4 57, 101–2 Diabetes Attitudes, Wishes and Needs (DAWN) corporate ventures 389–91 Programme 57–8 managing 398–405 diffusion of innovation 204–5, 341–6, 350 motives for establishing 391–7 acceleration of, OCI 502 Reuters’ fund for 378 lead users forecasting 304–5 strategic impact 405–7 digital media 448–9 cost-benefi t/benefi t-cost approach 249 DigitalDivideData 49 cost structure 477–8 dimensions of innovation 16–20 cradle-to-cradle inspired products 107 direct integration 402 ‘creative bazaar’ model 222 discontinuous innovation 36 creative destruction 11 discounted cash fl ow (DCF) 252, 254 creativity 22–3, 123–8 disembodied knowledge 443 as a process 129–31 dispersed team activity 273 blocks to 134 disposition of entrepreneurs 264–7, 268, 359, enabling 135–55 431 environment of 148–55 disruptive innovation 172, 468–9, 474 group level 127–8, 145–9 disruptive new products 106 importance of 131–2 distribution customization 178 516 Index

divergent thinking 125, 130, 133, 140, 145 internal analysis/brainstorming 242–3 DIY (do-it-yourself) market, social innovation 51 scenarios 244–6 Drucker, Peter 11, 420 ‘explore’ search strategy 209–10, 214 dynamic capability 36, 112, 224 external assessment 243 external funding 373, 377, 379, 416, 430 E.ON 264 extreme users 184–5 ‘early adopters’ 204–5, 304, 341, 345, 349, 350 fabrication customization 178–9 eco-effi ciency 112, 113 276, 307, 368, 418 economic growth 5, 483–4 failure(s) 486–7 EcoVision4, Philips 107 celebrating, Nortel 393 Edison, Thomas 13, 25, 144, 188, 300–1 killing early 422 Edmondson, Iain 312–13 of new businesses 357 education level of entrepreneurs 266–7, 416 reasons for 428 electric cars, diffusion of 342–3 Fairchild, Sherman 406–7 electrocardiogram (ECG), hand-held 70 Fauchart, Emmanuelle 53–4 emergent properties 291, 293, 501–2 ‘fi fth generation’ innovation 292, 501–2 emerging economies/markets fi nancial assessment of projects 251–5 frugal innovation 70, 173 fi nancial constraints, effect on venture 418 source of ideas 173–6 fi ve generations of innovation models, Rothwell see also China; India 292 employee-led innovation 156 fl exibility and fl uency, idea creation 128, 145 Encyclopaedia Britannica 183–4 focus groups 336 entrepreneurship 11–12 Ford, Henry 8, 17, 166, 177, 201, 204, 465, 473 characteristics of an entrepreneur 262–4 Model T 8, 177, 201, 204 entrepreneurial disposition 264–6 forecasting 190, 239–46 intrapreneurship 217, 294, 501 external assessment 243 managing 15–16 internal analysis 242–3 process model 21–4 limitations 240, 241 see also social entrepreneurship market research 241–2 environment, developing creative 148–55 scenario development 243–6 environmental innovation see sustainability-led foreign direct investment (FDI) 80, 90 innovation foreign systems of innovation, learning from eper ltd 54–5 71–3 ethnography 168, 169, 223 foreign technology, import of 90 Eureka moment 143 founder effects 415–16 European Internet ventures 419 framing 206–7 European national systems of innovation 73–5 France Telecom, online suggestions scheme 154 Evans, Chris 365 free revealing 183 expected utility theory 249 freedom, organizational climate 277, 282 experience of entrepreneur 266–7 Friedman, Thomas 68 experience innovation 19, 191–2 Friis, Janus 469 experts 336 frugal innovation 70, 173 explicit knowledge 443, 444 fruit pie manufacture 142 ‘exploit’ search strategy 208–9, 214 Fujifi lm 210 exploratory forecasting 241 funding customer or market surveys 241–2 dimension of venture management 398 expert opinion/Delphi 243 and ‘entrepreneurial academics’ 369 Index 517

seed funding 368, 379, 380, 383, 420 ‘high-technology’ ventures 380, 416 university spin-offs/spin-outs 366, 367, 370 high value innovation networks 311 venture capital 420–3 holistic perspective, fuzzy front end 238 future options 190 holistic planning, sustainability 114 fuzzy front end 236–9 Hollywood studios 449 Hoover 25 gatekeeper 216 the house of quality 339, 340 Gates, Bill 4, 47, 53, 146, 358 Howe, Elias 25 gazelles 414–15, 424 Howe, Jeff 185 General Electric (GE) 4, 13, 70, 86, 174, 405–6, human capital 85, 379 497 and funding decisions 423 globalization of innovation 67–70, 218 link to venture success 416 cross-boundary team activity 273 humanitarian innovation 177 learning from foreign systems 71–3 hybrid cars, diffusion of 342–4 Globetronics Bhd. 82–3 Google 139, 453 IBM 13–14, 86, 407, 450, 452, 497 Google[x] 391 ice industry 14–15 ‘innovation machine’ 152–3 ICT technologies, growth of 429–30 organizational climate 278 idea fl ow 151 ‘perpetual beta’ approach 154, 487 idea time 280 government funding 382–3 ideas Grameen Bank 45–6, 465 developing 22–3, 25 Grameen Shakti 113 scouting for 212 Green, Ken 102 ideas factory 428 Greenfi eld strategy 428 IDEO 186, 372–3, 487 GreenZone, holistic planning 114 IKEA 109–11, 299 groups 271–2 imitation 71 assets and liabilities 273 patenting as barrier to 453 developing creativity of 127–8, 145–9 watching others 187 versus teams 277 implicit (tacit) knowledge 444 Grove, Andy 407, 497 improvisation 263 growth 4, 5–6, 12 incremental innovation 19–20, 31, 32–3, 125, of new ventures 424–31 201–2 growth entrepreneurs 358 incubation stage, creativity 129, 135, 139–43 Gruber, Marc 53–4 incubator organizations 359–60, 361, 362 Guilford, J. P. 128 universities 365–70 Gupta, Anshu 50 independence of entrepreneurs need for 265, 266, 360, 377 Hall, Richard 34–5 search for 378, 420–1 Hargadon, Andrew 188 independent business units 403–4 healthcare innovations 9, 52 India 86–7 diabetes programme 57–8 Akash computer 174–5 low-cost 174 frugal innovation 70 NHS business model 467 individual start-ups 50 South Africa 48 Jain Irrigation Systems 93 user-led 54–5, 182, 305–6 Jaiper Foot 10 Henn, Gunter 151, 152 Jugaad innovation 173–4 high-performance teams 272, 274–5 patents 458 518 Index

India (continued) ‘Jam central’ model 222 Tata 70, 338–9 Janah, Leila 49 venture capital funding 380, 381 Jepessen, Lars Bo 185, 212–13 individual characteristics for entrepreneurship Jobs, Steve 4, 151, 152, 241, 262, 407 262–7 joint ventures 80, 82–3, 86, 87, 90–1, 339, 390, individual decisions 341 457 individual start-ups 50 Jones, Tim 5–6 information, defi ned 443 Jugaad Innovation 173–4 Innocent 270–1 Innocentive.com 185, 212–13, 222, 309 kaizen philosophy 132, 153, 154, 170, innovation audit 507 209, 487 innovation imperative 3–36 Kelly, Tom, IDEO 372–3 ‘innovation’, meaning of term 15–16 Khosa, Veronica 48 innovation process 3–10 Kickstarter, crowdfunding 295, 383, 492 innovation strategy 485, 496–8 killer phrases 149 advantages 27–30 Kirton Adaption-Innovation (KAI) scale 133, creating 30–5 263 deployment 498 knowledge 441–60 implementing 35 acquiring and generating 442 refl ection questions 498–9 defi ned 443 social innovation 61 intellectual property 450–8 sustainability-led innovation 114 sharing and distributing 446–7 innovative entrepreneurs 358 storage and retrieval 445–6 Innovative Partnerships Programme (IPP) 223 types of 443–4 insight and creativity 143 knowledge brokers 447, 448 insight stage, creativity 129, 130, 132, 135, 143 knowledge management 215–17, 445 intangible resources 34–5, 55–6, 446 knowledge production 218 integrated business teams 402 knowledge push 164–6 Intel 276, 394, 407, 418, 428, 497 knowledge spaghetti 164, 218, 301 intellectual property 450–8 knowledge translators 447 Intelligent Energy Ltd 427 knowledge workers, global distribution 218 intermediate impossible 140 Kodak 36, 210, 471 internal analysis 242–3 Koska, Marc 358–9 international patents 453–4 Koum, Jan 368–9 internationalization of R&D 72–3 Internet Lakhani, Karim 185, 212–13 Cisco, scenarios 244–5 Lambert Review of Business: University increasing use of 219 Collaboration, UK 370 sales of digital media 449 lateral thinking 140 unicorns 419 lead users 180, 205, 304–5, 336 ventures, Russia 81–2 leader-member exchange (LMX) 268–9 Intrapreneurship 217, 294, 501 leadership 267–70 invention 25 clear strategic 23, 496–7, 499 IPR (intellectual property rights) 450–8 and the creative process 155 principled 275 Jaguar Land Rover 338–9 team management 277 Jain Irrigation Systems (Jains) 93 technological 248 Jaipur Foot 10 ‘lean start-up’ methodology 144, 187, 488 Index 519

‘lean thinking’ 169, 171, 188 market experimentation 336 learning 504–5 market fragmentation 218 from foreign systems 71–3 market position 68 and search strategies 223–4 market pull 191, 325–6, 399 simple model of 487–8 market virtualization 219 supply chain 298–9 Markides Costas 474 see also knowledge mass customization (MC) 18, 177–80 learning laboratory 56–7 ‘Massachusetts miracle’ 298 learning networks 299–300 measures of innovation performance 506 left and right brain thinking 125–6, 131, 140 metaphors 134, 140–1, 145, 169 ‘licence to operate’ 55–6 Mexico, CEMEX 94 licensing microfi nance 45–6 costs and risks 458 MindLab 171 intellectual property rights (IPR) 450, mindset 139 456–8 minimum viable product (MVP) 144 Intelligent Energy 427 MIT (Massachusetts Institute of Technology) main strategic motives for 457–8 361–2 Star alliance 359 MNCs universities 365, 366, 369, 370 Brazil 88–9 lifestyle entrepreneurs 358 China 89–90 ‘Living Labs’ 176, 305 mobile payment schemes 93 local demands for innovation 75–6 ‘Mod Station’ model 223 location Moore, Gordon 349, 407 and performance 426–7 motivation of services 332 for social innovation 53–8 locus of control 265–6, 360 technology entrepreneurs 360 London Stock Exchange, alternative to Mumpuni, Tri 50 381–2 muppets 414–15 loss aversion 250 music industry 473 low-cost outsourcing 49 Myers–Briggs type indicators (MBTI) 266, 360 Lucent Technologies 404–5 luck 16, 207, 208, 487, 508 NASA, ‘infusion’ approach 223 Lynch, Mike 293, 360–1 national demands, patterns of 75–6 National Diabetes Programmes (NDPs) M-PESA 93, 175, 305 57–8 Machiavelli, Niccolo 36, 127 national governance structures 78–9 management 483–508 national innovation systems 68, 73–84 of corporate ventures 398–405 need for achievement (n-Ach) 53, 265, 360 developing the venture 493–6 need for affi liation (n-Aff) 265–6, 360 fi nding the resources 491–3 ‘need pull’ innovation 166–9 learning and building capability 485–7 net present value (NPV) 252 networking 501–4 Netfl ix 276, 308, 418 organizational context 499–501 networking 292–3 performance measurement 505–7 for collective effi ciency 297–8 recognition of opportunities 489–91 communities of practice 294, 296–7, 447–8 simple model of learning cycle 487–8 open collective innovation 501–4 strategy/sense of direction 496–9 skills 430–1 of teams 277 social, knowledge management 216 520 Index

networks 289–313 observability 349 building 309–13 OCI see open, collective innovation entrepreneur-based 293, 294, 296 online innovation markets 185 entrepreneurs’ 293–6 online knowledge work 49 learning 295, 299–300 ‘open, collective innovation’ (OCI) 219 managed open innovation 301–3 emergent properties around 501–2 recombinant innovation 300–1 Netfl ix 308 success factors 311 Open Handset Alliance (OHA) 326 supply chain 298–9 open innovation 217–21 user 295, 303–9 benefi ts and challenges of applying 302–3 New Business Initiative, Intel 394 enabling 221–3 new product and service development 323–51 models for 222–3 adoption of innovation, promoting 341–50 networks 301–3 new service development 330–4 open-source 222, 223 process involved in 323–8 openness 279 success of new products 328–30 operational optimization 104, 111, 112, 207 tools to support product development opportunities for sustainable innovation 100 334–40 opportunities, identifying 6–7, 9–10, 15, 17, 397 new technology-based fi rms (NTBFs) 363–5, opportunities, recognizing 489–90 416, 423, 425, 426 new venture creation 371–3 new ventures process model stage 21–2, 26–7 business plan development 373–4 social entrepreneurship challenges 59 complementary capabilities 418 ‘orchestra’ model 222 conjoint innovation 276 organizational climate 23–4, 278–82 context for 361–70 organizational culture 35, 237, 279, 446 factors infl uencing creation of 264–7, 268 organizational memory, components of 446 funding 420–3 organizational transformation 105–6, 111, 112, growth and performance 424–31 207 opportunities for 371–2 Osborn, Alex 147 process and stages 371–83 overconfi dence 250 resources and funding 375–83 ownership sources of ideas 372 and corporate governance structure 78–9 structure 374–5 dimension of corporate venture management success factors 413–19 398, 403, 404 types of 357–61, 401 intellectual property 365–6, 377 new ventures department 402 paradigm change to renting 18, 472, 474 new ventures division 402–3 and universities 365–6, 370 Nintendo Wii, success of 172 Oxford Health Alliance 113 Nippon–Rhineland model of governance Ozon, Russia 81–2 78–9 Nokia 94, 176, 223, 327, 453 Palo Alto Research Center (PARC) 362 ‘not invented here’ effect 14, 207 paper recycling, IDEA 109–11 novelty 19–20, 28 paradigm innovation 18–19, 33, 104–5, 468, Novo Nordisk 57–8, 94, 113 472–3 Noyce, Bob 406–7 PARC (Palo Alto Research Center) 362 NTBFs (new technology-based fi rms) 363–5, partial models, problem with 26 416, 423, 425, 426 partnerships 375 nurtured divestment 404 B&Q, social innovation 51 Index 521

Innovative Partnerships Programme (IPP) 223 process model 21–4 MNCs, Brazil 88 Procter and Gamble (P&G) 4, 166, 220, 221, musical world 145–6 470 social entrepreneurs 376–7 communities of practice 216–17, 296–7 sustainable innovation 113–14 PUR water purifi cation system 51–2 patents 73, 74, 75, 450–4, 506 product champions 236, 399–400 China 90 product development costs 451–2 process of 323–8 India 87 success criteria 328–30 inter-sectoral differences 453 tools 337–40 ‘international’ 453–4, 458 ‘product’ innovation 17–18, 32 legal tests 450–1 project appraisal and evaluation 248–9, 251–4 and performance 454 project selection 247–8, 255, 327, 336–7 strategies 455–6 prototyping 144, 186–7, 335, 337, 372–3 universities 366 psychological profi le of entrepreneur 265–6 pattern recognition 126–7, 137–8, 139 public sector innovation 52 analogies and similes 140–1 push vs. pull innovation 164, 200–1 360–1 perceptions of risk 249–51 QinetiQ 397 performance measurement 505–7 quality of services, perceptions of 331 Perini, Fernando 87–9 quality function deployment (QFD) 74, 216, 338, Perot, Ross 271 339–40 personal creativity 264 queuing for services 331 personal skills, developing 144–5 personality of entrepreneurs 265–6 R&D (research and development) personalization 18–19, 177, 178 auto industry 338, 343 Philips 165, 222–3 biotechnology start-ups 426–7 sustainability-led innovation 106–8 expenditure 164–5 physical environment 150–2 internationalization of 68–70, 72–3, 218 pickup truck, user innovation 180 investment in 377–8 Pine, Joseph 191 and 399 pink ideas 170 national level 73–5 Pixar Studios 151 open innovation 302 planning see business planning and the physical environment 150–2 platform design 29 and profi tability 425–6 play, permission to 152–3 resource allocation 251 Polaroid 471 and risk perception 246–8 policy deployment 154–5 role of venture capital 421–2 position in international value chain 68, 72, 82–3 switch to C&D (connect and develop) 220–1 position innovation 17, 32–3 radical innovation 19–20, 31, 32–3, 125, 201–2 Post-it notes, 3M 192, 486 ‘random juxtaposition’, idea generation 142 poverty 91–4 ranking, project selection 336 Prahalad, C. K. 91–2, 93, 100, 102, 173 rapid prototyping 337 Pritt Stick, invention of 126 recognition for creativity 154–5 Prius hybrid car, Toyota 343–4 recombinant innovation 188 probability, risk as 246–9 networks 295, 300–1 process improvement 169–71 recycling 50, 60, 107, 112 ‘process’ innovation 17–18, 32, 169–71 paper for IKEA catalogue 109–11 522 Index

Reed, Richard 270–1 map of the innovation search space (where reframing innovation 17, 19, 486, 489 question) 205–7 ‘reframing’ search strategy 210–13, 214 mechanisms for enabling (how question) regression, forecasting method 240 208–14 regulation, source of innovation 189 open innovation 217–23 relatedness, venture business 390, 401 opportunity being sought (what question) relationship confl ict 280–1 200–3 relative advantage 344, 346–7 players involved in (who question) 215–17 rental (vs ownership) model 18, 308, 448, 449, timing (when question) 204–5 472, 474 Seedcamp 420 reputation 35, 55–6, 428, 444, 446, 456 segmentation 242, 472–3 resources sensor technology for the aged 50–1 anticipation of 251–5 service development 330–4 challenges for social entrepreneurship high innovators 332–3 59–60 process of 323–8 fi nding 22, 27, 491–3 use and usefulness of techniques 335 sources of funding 375–83 servitization 18, 473–4 responsible innovation 115 shared commitment, teams 274–5 Reuters, corporate venture funds 378 shared learning 299–300 ‘reverse innovation’ 174 Shockley, William 406 rewards for creativity 154–5 Shoots garden centre 264 Rickman, Andrew 422–3 Siemens Mercosur, Brazil 88–9 right brain thinking 125–6, 140 Silicon Valley 212, 267, 294, 349, 360, 361, RIM BlackBerry 326, 327, 350 406–7 risk assessment 246–51, 329 similes 140–1 risk taking 250, 265, 266, 279, 282 simulated outcomes 337 Rogers, E. M. 341 simultaneity 331 Rolls-Royce 18, 28, 33, 202 skills for venture growth 430–1 servitization paradigm 468, 470, 473 Skovlund, Soren 57 Rothwell, Roy 184, 292 Skype, disruptive innovation 468–9 Route 128, Boston, Massachusetts 359–60, small companies. role of venture capital 421–2 361–2 smartphones 326–7 routines, search 208, 209, 223, 224 SMEs, growth and performance 424–6 Russia 79–82 sminultaneity, service operations 331 social capital 85 Samasource 49 social enterprise 48 Samsung 326–7 social entrepreneurship 50–3 Sandangi, Amitabha 50 challenges in 59–62 satellite communications, forecast of 143 characteristics of entrepreneurs 47 scaling up, social innovation 60 social identity theory 54 scenario analysis 74 social innovation 45–64 scenario development 243–6 challenges in 59–62 Schumpeter, Joseph 11 enabling 52–3, 58–9 science fi ction 143 motivation for 53–8 scouts 94, 212, 215, 221, 297 players 49–53 search strategies 199–227 support for 52–3 exploit and explore options 203 social needs, meeting 9 learning to search 223–4 analysis 151 Index 523

social networking 82, 216, 219 supply chains, evolution of global 83–4 social value creation 12 surveys 241–2, 336 software innovators 360–1 survival 3, 4, 6 software start-ups, funding 377–8 sustainability of business model 478 sole proprietorship 375 sustainability-led innovation (SLI) 99–117 sources of innovation 163–94 framework model for 103–11 accidents 192–3 managing the process for 111–14 crises and emergencies 176–7 ‘responsibility’ questions 115 design-driven innovation 190–2 sustainable development 93–4 emerging markets 173–6 Svenska Cellulosa Aktiebolaget (SCA) 110 future options 190 ‘synectics’ 141 imitation and benchmarking 187–8 system-level innovations 20 knowledge push 164–6 systems building 108–9, 111 mass customization 177–80 need pull 166–9 tacit knowledge 444, 445, 446–7 process improvement 169–71 internationalization 69 recombinant innovation 188 tanda network, fi nancing approach 94 regulation 189 target market 475–6 users as innovators 180–7 Tata 87, 338–9 working at the edge 171–2 Tateni Home Care 48 spaghetti model of innovation 291–2, 296 tax incentives, Brazil 87–8 special business units 403 team spirit 275 Spengler, J. Murray 25 teams 271–7 spillovers of know-how 89–90 integrated business teams 402 spin-out/spin-off ventures 80–1, 360–1, 362–3, technology-based new ventures, UK 429–30 390, 392 technology entrepreneurs 359–61 complete spin-off 404–5 technology intelligence 73, 74 university incubators 365, 366–7, 370 technology position 72 Spirit DSP, Russian R&D centre 81 technology-push 191, 191, 292, 325–6, 399 stage-gate system, production development pro- technology ventures 359–60 cess 324–5, 327 complementary capabilities 418–19 stakeholder innovation 57–8 funding for 377–8, 383, 420–3 Star Syringe 358–9 Internet ‘unicorns’ 419 start-up entrepreneurs, refl ection questions 489 overdependence on a small number of cus- storage tomers 234–5 knowledge 445 rejection of funding 379–80 and services 331 success factors 413–20 strategic advantages 27–30 Texas Instruments 406–7 strategic analysis 30–1 Theory of Inventive Problem-Solving (TRIZ) 138 strategic implementation 35 thinking skills, developing 135–44 strategic selection 31–5 ‘Third Sector’ innovation 52 stratifi ed system theory (SST) 269 time and space for creativity 152–3 success, factors infl uencing 413–19 timing (fi rst-mover advantage) 28 success factors, start-ups 426–7 timing, ‘innovation lifecycle’ 204 successful innovation, context of 23–4 total productive maintenance (TPM) 170 Sumitomo 82–3 totally chlorine-free (TCF) paper, IKEA 110 superstars 363, 364 Toyota 131–2, 153, 171, 298, 340, 343–4, 487 supply chain learning 298–9 Transformational Business Awards 93 524 Index

transformational leaders 269 video material, internet sales of 449 trialability of innovations 348–9 Virgin 4, 34 triple bottom line 50, 55, 57 vision 269 TRIZ (Theory of Inventive Problem Solving) 138 clarity of 23, 61, 496–7 trust, climate of 279 and common goals, teams 274 shared 24, 145, 262, 465 UK Foundation for Social Entrepreneurs 376–7 ‘Vision 2050’, sustainability 100, 107 uncertainty 236, 238, 243, 246–7, 249, 251 ‘voice of the customer’ 216 tolerance of, risk-taking 282 VOIP fi rms unicorns 419 Skype 468–9 Unilever 92, 113, 450 Spirit DSP 81 universities as incubators 365–70 von Hippel, Eric 180, 304 unlearning 263 UnLtd 376–7 waiting times, hospitals 136–7 upper echelons theory 267 water purifi cation system, P&G 51–2 user-led innovation 54–5, 180–7, 372–3 ?Whatif! consultancy 147–8, 222 WhatsApp 368–9 validation stage, creativity 144 Wikipedia 184, 307 value capture 23, 477 Williamson, Audley 193 value chains, international 82 Woolridge, A. 70 value creation 12, 84–5 work experience 266–7 value network 206 working at the edge 171–2 value proposition 464, 467, 475 workplace innovation 215 creating and delivering 476 generic business models 472 Xerox 192, 206, 362–3, 405 values, aligning with staff 56 venture capital 378–82 , Russian search engine 82 role in innovation 421–2 Yunus, Muhammad 45–6, 47, 465 venture development, challenges for social entre- preneurship 60 Zennstrom, Niklas 469 Verganti, Roberto 190, 191 Zimmer Medical Devices 398